Penalty only on Disproved claim of expenditure & not unproved

Arun Duggal Vs. DCIT (ITAT Delhi) Hon’ble Delhi ITAT in the case of Arun Duggal,v/s DCIT in ITA No.740/Del/2014 has held that Penalty can be imposed only on disproved claim of expenditure and not unproved claim of expenditure. The facts of the case are that the assessee is in the business of consultancy. A sum of Rs.9,20,445/- was claimed as commission expense. To substantiate the said expenditure assesse stated that he had hired the services of professionals, consultants and some other individuals to help improvement in rendering services. Vide letter dated 18.12.2008, the assessee s...